This Months Fund
The investment objective of the LF Miton US Opportunities fund is to aim to achieve long-term total returns by investing primarily in a portfolio of North American equities. The fund may also choose to invest in collective investment schemes, cash, money market instruments, other transferable securities and use derivatives and forward transactions for the purpose of efficient portfolio management. The fund was established in March 2013 and has been managed throughout its history by Nick Ford and Hugh Grieves. Between the 2 managers they have over 45 years’ worth of experience in US Equities. The funds ambition is to outperform the S&P 500 (with no guarantee given) by investing in the wider stock universe of the Russell 3000.
This fund was implemented into the Gemini Models in August 2017 but had been on the watch list for some time. Its impressive performance compared to the implied volatility, measured by Beta made it stand out. Much of the gains in the North American S&P 500 index in 2017 was attributed to 5 large tech stocks, Facebook, Apple, Amazon, Netflix, Alphabet (google) collectively known as the FAANG stocks. The valuations for these companies are extremely stretched which is one factor which has meant that this fund hasn’t held them over recent times, which is a reason what attracted us to the fund and also making the funds’ performance even more notable despite avoiding these stocks. We feel this funds is a great compliment to our North American equities allocation and gives us a wide range of opportunities using its wide universe of investable companies.